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ARTICLE · 22 NOVEMBER 2024

The Future Of Non-Compete Agreements: FTC's Final Rule And Its Implications

Pender & Coward
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In May, the Federal Trade Commission ("FTC") published a controversial Non-Compete Clause Final Rule (the "Final Rule") that impacts almost all non-compete agreements between companies...

United StatesEmployment and HR
Jeffrey D. Wilson
Jeffrey D. Wilson
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In May, the Federal Trade Commission ("FTC") published a controversial Non-Compete Clause Final Rule (the "Final Rule") that impacts almost all non-compete agreements between companies and their employees and contractors – including those already in existence. That Final Rule is scheduled to go into effect on September 4, 2024 (the "Effective Date").

FTC Outlaws Most Non-compete Agreements Effective September 4, 2024.

So-called "non-compete agreements" that limit or prevent workers from competing with their former employers for a period, are commonly used by businesses to protect their proprietary information and client relationships. In fact, the FTC states that approximately 30 million employees are covered by non-compete agreements.

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